Influence on Ukraine’s economy is one of the ways that the aggressor state is trying to use in the hybrid war against Ukraine. This was the message the SSU Head Ivan Bakanov delivered at the International Anti-Corruption Forum Kleptocracy and Illicit Financial Flows.

‘In the current environment, the aggressor does not necessarily have to seize territory - it is enough to undermine economy, create obstacles for strategic enterprises, encourage corruption and smuggling, etc. And it is in such cases that these phenomena become the focus of special services. Often such shadow schemes are aimed at directly damaging the country’s defence capabilities,’ briefed Ivan Bakanov.

To illustrate, the SSU Head recalled several corruption mechanisms exposed by the Security Service. For example, the SSU uncovered attempts to export military equipment and components violating export control procedure as well as the procurement of parachute systems that did not meet the defence order requirements.

In addition, the SSU officially handed over confiscated spare parts for aircraft and armored vehicles, anti-aircraft missile systems worth about UAH 1 bln (USD 36.5 mln) to the MoD.

In 2021, the SSU has launched 162 pre-trial investigations into smuggling and violations of customs regulations and dismantled 9 organized criminal groups. Over this period, 110 individuals have been convicted of smuggling and 18 - of corruption on the border.

‘Speaking about the economic impact of the SSU, it is very real: almost UAH 2 bln (USD 73 mln) of customs duties imposed and UAH 1 bln (USD 36.5 mln) already paid to the state,’ Ivan Bakanov added.